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2022 Supreme(Mad) 3464

IN THE HIGH COURT OF JUDICATURE AT MADRAS
M. SUNDAR, J.
M/s. Micro Labs Limited, Represented by its General Manager – Legal, G. Ashok Kumar, Bengaluru - Appellant
Versus
A. Santhosh Proprietor, M/s. Life Gain Pharma, Choolaimedu, Chenani - Respondent
C.S(Comm. Div.) No. 185 of 2022 & O.A. Nos. 554 to 556 of 2022 & A. No. 3780 of 2022
Decided On : 14-09-2022

Advocates appeared:
For the Petitioner:Shamilee Rajkumar, Advocate.

Non-compliance with mandatory provisions such as Section 12-A of the Commercial Courts Act can lead to rejection of the plaint.

Headnote:

Trade Marks Act - AVAS - Sections 27, 28, 29, 134 & 135 of the Trade Marks Act, 1999 and Sections 51, 55 and 62 of the Copyright Act, 1957 and Section 7 of the Commercial Courts, Commercial Division and Commercial Appellate Division of High Courts Act No.4 of 2016

Fact of the Case:

The plaintiff filed a Civil Suit seeking injunction against the defendant for trademark infringement and copyright infringement. The plaintiff alleged that the defendant was using a deceptively similar trademark 'AVASLIP' for their pharmaceutical products, infringing the plaintiff's trademark 'AVAS' and committing acts of copyright infringement by reproducing the plaintiff's artistic work 'AVAS' label.

Finding of the Court:

The Court found that the plaintiff failed to comply with Section 12-A of the Commercial Courts Act, which mandates pre-institution mediation before filing a suit without urgent interim relief. As the plaintiff did not take any steps under Section 12-A after serving the cease and desist notice, the Court rejected the plaint, preserving the plaintiff's rights to come back after complying with Section 12-A.

Issues: Non-compliance with Section 12-A of the Commercial Courts Act

Ratio Decidendi: The Court held that the plaintiff's failure to take recourse to pre-institution mediation under Section 12-A before filing the suit without urgent interim relief amounted to non-compliance with the mandatory provision, leading to the rejection of the plaint.

Final Decision: The Court rejected the plaint, preserving the plaintiff's rights to come back after complying with Section 12-A.

JUDGMENT

(Prayer: This Civil Suit is preferred, under Order IV Rule 1 of the Original Side Rules 1994 read with Order VII Rule 1 of CPC and Sections 27, 28, 29, 134 & 135 of the Trade Marks Act, 1999 and Sections 51, 55 and 62 of the Copyright Act, 1957 and Section 7 of the Commercial Courts, Commercial Division and Commercial Appellate Division of High Courts Act No.4 of 2016 to

(a) A permanent injunction restraining the defendant, its manufacturers, distributors, stockists, servants, agents, wholesalers, retailers, legal representatives or any other person claiming under it from in any manner manufacturing, selling, offering for sale, stocking, advertising directly or indirectly dealing in medicinal and pharmaceutical preparations infringing the trademark 'AVAS' of the plaintiff registered under No.963813 in class 5 by use of deceptively similar trademark 'AVASLIP' or any mark identical or similar to plaintiff's registered trademark 'AVAS' in any manner whatsoever;

(b) A permanent injunction restraining the defendant, its manufacturers, distributors, stockists, servants, agents, wholesalers, retailers, legal representatives or any other person claiming under it from in any manner manufacturing, selling, offering for sale, stocking, advertising directly or indirectly dealing in medicinal and pharmaceutical preparations under the trademark 'AVASLIP' or any other trademark that is identical to and / or deceptively similar to the plaintiff's trademark 'AVAS' and / or use similar packaging as that of the plaintiff's products so as to pass off their medicinal preparations as and for the medicinal preparations of the plaintiff in any manner whatsoever;

(c) A permanent injunction restraining the defendant by themselves, their servants, agents, men, distributors or anyone claiming through them from committing acts of copyright infringement by making substantial reproduction of the plaintiff's copyright in the artistic work 'AVAS' label by use of deceptively similar colour scheme, get up and layout for their 'AVASLIP' labels or in any manner whatsoever;

(d) The defendant be ordered to pay to the plaintiff a sum of Rs.50,00,000/- as liquidated damages for committing acts of infringement against plaintiff's registered trademark so as to pass off its products as and for the plaintiff's products;

(e) The defendant be ordered and decreed to deliver up for destruction to the plaintiff all the products, preparations, packaging either filled or empty, dyes, blocks, labels, brochures, leaflets, pamphlets, hand bills, hoardings, wall posters, calendars, carry bags, stationery items and such other sales promotional materials bearing and / or containing the impugned trademark 'AVASLIP';

(f) A preliminary decree be passed in favour of the plaintiff directing the defendant to render accounts of profits made by it by use of the identical / deceptively similar trademark 'AVASLIP' or any mark identical / deceptively similar to the trademark of the plaintiff 'AVAS' and a final decree be passed in favour of the plaintiff for the amount of profits found to have been made by the defendants after the latter has rendered accounts;

(g) Directing the defendant to pay to the plaintiff the costs to the suit;)

1. Captioned suit has been presented in this Court on 22.08.2022 with prayers inter alia for injunction qua a 'registered trademark of the plaintiff being Trademark 'AVAS' ' [hereinafter 'said mark' for the sake of convenience and clarity] bearing registration No.963813 in class 5 i.e., Pharmaceutical and Medicinal Preparations.

2. It is the case of the plaintiff that the defendant is using a deceptively similar trademark i.e., 'AVASLIP' [hereinafter 'alleged offending mark' for the sake of convenience and clarity] for their pharmaceutical products.

3. To be noted, it is also alleged that there is copyright infringement owing to alleged substantial reproduction of the plaintiff's copyright in the artistic work AVAS qua AVASLIP i.e., said mark qua alleged offending ma

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